The fall of the dominoesBack to Forum
Another one bites the dust, but rises up again immediately. This begs the question, “when is a bankruptcy a bankruptcy?”
In some countries the continuance of a bankrupt company, even under a different name, number, licence or whatever, is illegal. This is because it is considered an unethical way to avoid paying the company´s debts.
“Denmark’s Jet Time declares bankruptcy, new Jettime gets AOC”, (ch-aviation, 22-7-20)
An interesting maneuver.23 Jul 2020
I do not know if this case is classified as a bankruptcy. However, it certainly is financial acrobacy to close a company in a high tax area to reopen in a low tax one. “Austria’s Lauda to close, be replaced with new Maltese unit.” (ch-aviation 28-7-20)
…..but Ryanair has been known for dismantling Lauda little by little in the last year.
“Ryanair warns of further base closures”, (Routes Online, 27-7-20)30 Jul 2020
Now it is the turn of Smartwings which is the holding vehicle for (mostly charter) operations in Slovakia, Germany, Poland, Hungary and Czechia. The group is headquartered in Prague where it is also the holding company for Czech Airlines (CSA) – the full service airline.
“Smartwings Applies To Prague Court For Creditor Protection”, (Aviation Week, 27-8-20)
……….if the group does go belly up will LOT step into Prague to offer long-haul services as it has already done in Budapest? It should be pointed out that CSA has already cut back its long-haul routes, by withdrawing its widebody aircraft from operations, and so only offers European flights.28 Aug 2020
at 10:582 Oct 2020
it is quite a tragic to see the whole tourism and transportation industry almost collapsing, the effect of the corona virus pandemic cannot be overemphasized. It is even bring age long and financially capable company to it knees. one can only hope the easing of restriction brings the much needed change in the industry.4 Oct 2020
Air Asia X (the long-haul division of Air Asia) facing liquidity problems.6 Oct 2020
Two Air Asia offshoots are in trouble.
Air Asia Japan has closed.
Meanwhile the fate of Air Asia Indis is in the hands of Tata.7 Oct 2020
The new Italian airline was founded on 9th October 2020 and will take over the assets of Alitalia. The launch date of the “Newco” has not been announced as yet, however, “Local media are reporting that the new government-owned airline will take off in early 2021.” That means we are actually seeing the last days of the once great Alitalia. After many false funerals the airline is finally giving up the ghost.
“Italy Prepares For A New Flag Carrier To Succeed Alitalia,” (Simple Flying 11 October 2020)
“Alitalia inches closer to relaunch in Italy”, (Breaking Travel News 13 October 2020)
“How the new Italia Trasporto Aereo SpA will replace the current Alitalia – Società Aerea Italiana”: (World Airline News 12 October 2020)14 Oct 2020
“The last stand” for Air Asia X reports The Star.17 Oct 2020
Looks like Cathay Dragon (ex Dragonair) will go, it’s routes absorbed into sister airline Cathay Pacific
Announcement expected on Wednesday20 Oct 2020